Nicholas Eng Teng Cheng v Government of the City of Buenos Aires
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Case Significance
Nicholas Eng Teng Cheng v Government of the City of Buenos Aires [2024] SGCA 15 was decided by the Singapore Court of Appeal on 15 May 2024, with grounds of decision delivered by Tay Yong Kwang JCA on behalf of a coram of Sundaresh Menon CJ, Tay Yong Kwang JCA and Steven Chong JCA, following a hearing on 27 February 2024 in Civil Appeal No 44 of 2023. The appeal raised the question of what is the proper law that governs the lifting of the corporate veil of a Singapore-incorporated company that entered into a contract governed by foreign law. In the underlying suit HC/S 160/2021, the Government of the City of Buenos Aires had sued HN Singapore Pte Ltd and its controller, Mr Nicholas Eng Teng Cheng, for breach of contract and misrepresentation; the Judge allowed the breach of contract claim and held HN Singapore and the appellant jointly and severally liable for damages of US$237,619.35 (see [2023] SGHC 139).
Summary
This appeal concerned which law governed the lifting of the corporate veil of a Singapore-incorporated company, HN Singapore Pte Ltd, that had entered into a contract governed by foreign law to supply COVID-19 test kits to the Government of the City of Buenos Aires. The High Court had held the company's sole director and shareholder, Nicholas Eng Teng Cheng, personally liable on the basis that Argentine law, the governing law of the contract, applied to the veil-lifting issue. The Court of Appeal allowed the appeal, holding that the law of incorporation (Singapore law) applied and that under Singapore law there was no basis to lift the corporate veil, and it awarded costs of $120,000 to the appellant.
What was Nicholas Eng Teng Cheng v Government of the City of Buenos Aires [2024] SGCA 15 about?
Decided by the Singapore Court of Appeal on 15 May 2024, the appeal concerned the proper law governing the lifting of the corporate veil of a Singapore-incorporated company, HN Singapore Pte Ltd, that had entered into a contract governed by foreign (Argentine) law.
Who were the judges in Nicholas Eng Teng Cheng v Government of the City of Buenos Aires [2024] SGCA 15?
The coram comprised Sundaresh Menon CJ, Tay Yong Kwang JCA and Steven Chong JCA. Tay Yong Kwang JCA delivered the grounds of decision of the court in Civil Appeal No 44 of 2023, heard on 27 February 2024 and decided on 15 May 2024.
What damages were ordered in the underlying suit in [2024] SGCA 15?
In HC/S 160/2021, the Judge held HN Singapore Pte Ltd and Mr Nicholas Eng Teng Cheng jointly and severally liable for damages of US$237,619.35 for breach of contract, with the appellant made personally liable through the lifting of the corporate veil (see [2023] SGHC 139).
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Judgment
Read the full judgment on the official Singapore Courts portal.
Read on eLitigationSource: eLitigation ([2024] SGCA 15)